Parmesh Construction Company Ltd has emerged as the successful bidder for a 45-kanal land parcel around Sangarmaal City Centre in Srinagar, with the property fetching ₹421.75 crore in a government auction.
The 45-kanal parcel, equivalent to approximately 5.625 acres, was offered for development on a full-lease basis. Parmesh Construction Company Ltd, a consortium of Pahalgam Green Hotels, a Jammu and Kashmir-based firm, and Bhutani Infra Ltd, secured the highest bid after an auction that continued into the early hours of August 26.
The bidding began at 11 am on August 25 and concluded at around 1.48 am the following day. The final bid was more than double the government’s expected value of approximately ₹200 crore.
Location Drives High Bid
The land parcel is located around Sangarmaal City Centre, behind the Kashmir Golf Course and opposite Polo View, a pedestrian high-street market in Srinagar. One side of the property is connected to Chunt Khul, while Dal Lake is around one kilometre away. Lal Chowk is also located within easy reach of the site.
The location and scale of the parcel contributed to strong interest from bidders. The auction is expected to support the redevelopment of the underutilised Sangarmaal City Centre and create new commercial facilities in the area.
The site was previously part of an ambitious commercial development proposed to provide Srinagar with a modern commercial destination. The project included landscaped spaces, fountains, basement and surface parking, lifts and escalators.
The commercial complex has an inventory comprising 62 shops in the main commercial module, 38 spaces in the Craft Bazaar, 11 kiosks, two food courts, a restaurant and 11 office spaces.
However, the development remained largely underutilised after many commercial units remained closed and the proposed business activity failed to develop as expected.
Plans for Commercial Redevelopment
Under the fresh lease arrangement, the front and rear portions of the Sangarmaal property are expected to be redeveloped. Plans include a multiplex and other commercial facilities.
The ₹421.75 crore bid marks a new phase for the Sangarmaal site, which has remained largely underused since its development was announced in 2015.
The transaction also indicates renewed investor interest in commercial real estate opportunities in Srinagar. The auction drew bids substantially above the government’s initial expectations and could encourage further development and redevelopment activity in the city.
Batamaloo Land Also Attracts ₹305 Crore Bid
Another major property auction was held at Batamaloo, around six kilometres from Sangarmaal. The approximately 70-kanal land parcel, covering around 8.75 acres, includes the Batamaloo bus-stand area and has also remained largely underutilised.
The Srinagar Development Authority is planning to redevelop the site to improve its utilisation and prevent encroachment.
Bidding for the Batamaloo property opened at ₹95 crore on August 27 and reached ₹305 crore by the evening. Construction Engineers, another Jammu and Kashmir-based consortium, emerged as the highest bidder.
The Batamaloo land is also being offered on a full-lease basis. The proposed redevelopment plans include shopping areas, office spaces and housing.
Together, the two auctions have generated bids of more than ₹726 crore for two major public land parcels in Srinagar. The successful bidding outcomes may support the redevelopment of underutilised properties and open opportunities for new commercial and mixed-use development in the city.
The Sangarmaal City Centre redevelopment will be closely watched as the successful bidder moves towards implementing the proposed project. The redevelopment is expected to bring new commercial activity to a site that was intended to serve as one of Srinagar’s major urban commercial destinations.
